Associated factors

SMEs

MNCs

1) Regulation

Costs of non-compliance may be substantial ( Longo et al., 2005 ; Williamson et al., 2006 ).

Must maintain operation standards across countries. As a result are less responsive to local conditions.

2) Stakeholders’ influence

Responsive to local community stakeholders ( Sweeney, 2007 ).

SMEs understand CSR ( Jenkins, 2004 ; Spence, 2007 ).

Responsible to a wide range of stakeholders. Perceived general responsibility to society. Importance of shareholders ( Bondy et al., 2012 ; Jenkins, 2004 ; Rodrıguez & Gomez, 2009 ; Aguilera-Caracuel et al., 2015 ).

3) Cultural norms and expectations

More responsive because embedded in local culture.

Working in diversified cultural environments. Adapt to the expectations of local culture and diversify their CSR activities accordingly.

4) Organizational culture

Highly affected and reflecting owner/founder values ( Spence, 2007 ).

Less hierarchical, more discretion granted to managers ( Jenkins, 2004, 2006 ; Hsu & Cheng, 2012 ).

More hierarchical. Narrower managerial discretion ( Jenkins, 2004 ; Jamali et al., 2009 ).

5) Organizational size

Fewer implementation problems ( Baumann-Pauly et al., 2013 ).

Fewer opportunities to apply CSR across the supply chain.

Large size makes it difficult to implement CSR across the organization.

Many opportunities to apply CSR across the supply chain.

6) Availability of financial resources

Financial strength might constrain CSR ( Lepoutre & Heene, 2006 ; Kusyk & Lozano, 2007 ; Sweeney, 2007 ; Jenkins, 2004 ; Hsu & Cheng, 2012 ).

Available financial resources allow for easier adoption of CSR ( Aguilera-Caracuel et al., 2015 ).

7) Natural resource dependencies

In developed countries, they are less resource-dependent.

In developing countries, they may be as resource-dependent as MNCs.

Reliant on exploiting local advantages in resources ( Strike et al., 2006 ; Surroca et al., 2013 ).

8) Human resources management

Based on local employment and contributing in this way to CSR ( Jenkins, 2006 , Nielsen & Thomsen, 2009 ).

Diversification in human resources allows for easier application of CSR.

More CSR-oriented training.

Not necessarily reliant on local employment ( Chapple & Moon, 2005 ; Mijatovic & Stokic, 2010 ).

9) Managers’ attitudes toward CSR

Mainly affected by owners’ perceptions ( Vo, 2011 ; Hsu & Cheng, 2012 ).

Informed by international standards and trends in management.

10) Importance of CSR communication

Communication of CSR is usually not central ( Lee et al., 2016 ; Jamali et al., 2009 ).

Communication and reporting of CSR is central ( Mousiolis et al., 2015 ; Baumann-Pauly et al., 2013 ; Jamali et al., 2009 ).